Melbourne’s M3 AI Datacentre Expansion Faces Community Pushback Over Power Draw

TL;DR: Residents warn that Melbourne’s M3 AI datacentre expansion could double its power draw to 225 MW by 2027, raising concerns about health and environmental impacts.

The M3 facility, marketed as Australia’s largest hyperscale AI factory, sits less than 10 km from Melbourne’s CBD in West Footscray. Nearby resident Sean Brown says his 19‑month‑old son is growing neurologically, pulmonarily, and physically while living close to the site.

Australia is under pressure to expand its datacentre capacity to support the growing AI boom and secure sovereign compute resources. Industry leaders say new facilities are vital downpayments on the nation’s digital future.

The Maribyrnong local council has formally opposed the expansion, citing proximity to homes and schools. However, the final approval authority lies with the Victorian government, which is currently reviewing the proposal.

If approved, the centre will grow to cover 10 hectares and draw 225 MW of power continuously by the end of 2027. The number of diesel generators on site is expected to increase from 40 to 100 upon completion. These changes would roughly double the facility’s footprint and energy consumption compared with its present layout.

Critics warn that the extra generators could worsen local air quality and increase noise levels for nearby households. They also point out that the cumulative environmental impact of the datacentre has never been formally evaluated.

Supporters argue that the expansion is necessary to meet rising demand for AI‑driven services and to keep Australia competitive in the global tech race. They note that the project would create construction jobs and ongoing operational roles.

The Victorian planning minister’s office says the proposal is under assessment and a decision is expected later this year. Until then, the project remains subject to state planning approval and any attached conditions.

Watch for the Victorian government’s planning decision in the coming months, which will determine whether the M3 expansion proceeds.